Tax Tables

Tax tables are used to help an employer work out how much tax to withhold from an employees pay each payrun. In Australia, these tax tables are available directly from the ATO website, and are re-released periodically. It’s a good idea to check for an update at least once every financial year.

The JCurve Payroll bundle automatically gets updated in June to factor in changes to the tax tables for the following financial year starting in July.

Here is a link to the tax tables:
https://www.ato.gov.au/rates/tax-tables/

As a general guide, you will want to look for the tax table that matches the pay period you are processing for, ie. Weekly, Fortnightly, Monthly.

An example for Weekly Pay Periods:

Here is a link to the weekly tax table:
https://www.ato.gov.au/rates/Weekly-tax-table/

Once on the Weekly Tax Tables webpage, you’ll also find a handy “Withholding look-up tool to quickly work out the amount to withhold”.
This links to a simple Excel spreadsheet where you can enter the weekly pay amount into one cell, and it’ll show you the withholding tax in another cell.

As you can see from the example below, entering $1403 below in the green cell will calculate withholding tax at $322 (assuming the employee has opted for the Tax-Free Threshold for this position).

screenshot - weekly tax tool

 

Tax Table PDFs

There are PDFs you can download from the ATO website too. These are versioned to a particular tax period (eg. 2014-2015), and a particular pay period (eg. weekly), so you may want to ensure you download the right one.

Eg. If you Google “ato tables 2015 pdf”, you’ll see an official link to the ATO website for a weekly tax table:

screenshot - google for 2015 tax table

To confirm you are looking at the right version of the Weekly tax table PDF, simply open the file and look for a date reference:

screenshot - tax table pdf

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